Title
Resolution for the Water Conveyance System - Water Works Park to Northeast Transmission Main FY 2019 - Drinking Water Revolving Fund (DWRF) Project Plan
Body
Agenda of: April 11, 2018
Item No.: 2018-676
Amount: N/A
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Sue F. McCormick
Chief Executive Officer
Great Lakes Water Authority
DATE: March 28, 2018
RE: Resolution for the Water Conveyance System - Water Works Park to Northeast Transmission Main FY 2019 - Drinking Water Revolving Fund (DWRF) Project Plan
MOTION
Upon recommendation of Nicolette Bateson, Chief Financial Officer / Treasurer, and Cheryl Porter, Chief Operating Officer - Water and Field Services, the Board of Directors (Board) of the Great Lakes Water Authority (GLWA), approves the attached Resolution for the Water Conveyance System - Water Works Park to Northeast Transmission Main FY 2019 - Drinking Water Revolving Fund (DWRF) Project Plan; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
The Northeast Water Treatment Plant (NE) was built in 1956 and has a large backlog of required capital improvements necessary to maintain water treatment capacity. The Water Works Park Water Treatment Plant (WWP) was completely rebuilt in 2003 and has a large amount of excess treatment capacity. GLWA has prepared a project plan for the transmission main to provide finished water from WWP to NE. The project plan will allow the NE site to be decommissioned and the existing NE high lift station and reservoirs to be used to repump finished water to the NE service area. GLWA wishes to utilize low interest loans available under the State of Michigan Drinking Water Revolving Fund (DWRF) for this project and a public hearing on the project plan was scheduled for 1:00 p.m. on April 11, 2018. The attached Resolution accepts the project, directs GLWA staff to address all public comments, prepare the responsiveness summary, and publish the final Project Plan, and authorizes GLWA’s CEO to transmit the final FY 2019 DWRF Project Plan to the Michigan Department of Environmental Quality and to secure a DWRF loan for the project.
JUSTIFICATION
The purpose of this plan is to better align the GLWA water production capacity with long-term system water demands, while improving reliability, water quality protection, and reducing future operational and maintenance costs as well as capital improvement costs. The proposed NE repurposing will largely eliminate the need to complete the large and costly backlog of capital improvement projects at NE. In addition to repurposing NE, the project is also intended to provide additional reliability to the WWP service area through the proposed transmission pipeline in case of loss of service at the WWP.
BUDGET IMPACT
Debt service is anticipated to begin in FY 2020 for this project and will be included as part of the FY 2020 financial plan.
COMMITTEE REVIEW
This matter is brought directly to the full Board.
SHARED SERVICES IMPACT
This item does not impact the shared services agreement between GLWA and DWSD.